Read more of your interests, read less insurance paperwork
Ditch the paperwork with Plum's group health insurance
Click here to know how Plum helps 3000+ HRs ➝

An employee performance management system (EPM) is the process by which an organisation evaluates employee performance, sets goals and objectives, and provides feedback to employees about their performance. A sound employee performance management system, should provide transparency, manage communication and feedback effectively, provide constructive feedback, and motivate employees. Unfortunately, many employee performance management systems today could be more effective. This blog discusses how to upgrade your employee performance management system. It includes five easy steps.

What's Incorrect With Employee Performance Today? 

Employee performance reviews are outdated and ineffective. They're time-consuming and bureaucratic, making them difficult to execute. A newer, more effective employee performance management system could solve all these problems! Employee performance reviews should be focused on performance results, not attitudes. They should be time-efficient and result in actionable goals, not just feedback. And finally, assessments should be performance-based, not based on subjective factors like attitude. If you're looking to upgrade your employee performance management system, these four steps will get you there. 

Reviews That Don't Cater for the Development of Skills 

Employee reviews should be about more than just assessing employee development and skills enhancement. Now, they are also used to evaluate individual performance and identify areas of improvement. To review employees as effectively as possible, it is essential that reviews happen at least once every six months but ideally more often if needed. Checks should be tailored to the individual's skill set to provide meaningful and helpful feedback. Additionally, employee reviews help management track progress and stay ahead of employee skillset changes. 

Too Much Emphasis on Compensation 

Employee reviews have become too important to the compensation package. Too often, review processes are based on a cookie-cutter approach that looks at an employee in isolation and evaluates their performance purely based on past experiences. This type of pipeline has the potential to be very detrimental as it can damage relationships and even lead to departures from the company. For reviews to be truly effective, they need to be tailored specifically towards each employee and not followed blindly in accordance with a set policy or process. 

360-degree assessment tools offer employees a more holistic view of their performance, helping management make better decisions about retention or promotion efforts. 

Single View "Conversations" 

Employee reviews are often one-sided and do not take into account different perspectives. This system can negatively affect employees, leading to performance management issues and tension in the workplace. Reviews should be objective, based on factual evidence, and updated regularly to reflect changes in the workplace environment. If managed well, employee reviews could help improve skills and performance over time. 

Annual Performance Reviews Aren't Consistent

Employee performance reviews should be conducted more frequently than once a year to ensure that employees are appraised fairly and appropriately. When they happen, reviews should cover all areas of employee performance, not just their job performance. This system would also give employees enough time to prepare for them by allowing an extended notice period beforehand. 

7 Methods to Improve Employee Performance

An employee performance management system (EPM) is essential to any successful business. It helps manage employee performance and development and provides feedback and guidance to achieve these goals. However, it's critical to remember that an EPM isn't a one-time event but a continuous process that needs to be upgraded and revised. 

Increase the Cadence of Check-Ins 

Increasing the cadence of check-ins with your employees is essential to ensure that performance remains consistent. You will gain a better understanding of their performance and how you can improve it by using feedback forms. It's also important to review employee reviews regularly and take corrective action where necessary. In addition, track progress indicators such as employee retention rates or satisfaction levels so that you know when somebody has met or exceeded expectations. 

Set Quarterly Performance Goals 

All businesses need to have set performance goals for their employees. This way, everyone knows where they stand, and a transparent review process is in place. After assessing employee performance against the goals set, feedback should be given accordingly. Furthermore, it is essential to provide time for employees to reflect on their reviews and improve upon future skills. Doing so will create a strong foundation of trust and morale that can last long-term into better times ahead! 

Provide True Coaching and Training, Not More Speeches 

It's essential to provide genuine coaching and training rather than just giving speeches or issuing empty promises. This will help your employees learn from their mistakes, develop a growth mindset and eventually achieve better performance. Offering clear, specific and actionable feedback is also essential for helping employees improve their skills. Additionally, it's crucial to celebrate employee successes - this boosts morale and encourages others to join in the effort. 

Implement Employee Self-Evaluation Programs 

Employee self-evaluation programs play a vital role in the management of employee performance. By helping you appraise employee skills and knowledge and identify areas for improvement, these programs can help you create an environment where employees are motivated to work harder and achieve their goals. Furthermore, feedback should be kept confidential to protect the individual's identity and morale. Employees also have the right to raise any issues they have with their job satisfaction or working conditions so that they can be addressed promptly. Evaluating your program regularly will help ensure that it delivers results that all parties desire. 

Ask Their Peers and Colleagues

As a boss, feedback is essential for improving employee performance. Even better, you can get feedback from their superiors or peers - it doesn't matter if the reviews are conducted regularly and consistently across an organisation. This way, you'll be able to make informed decisions regarding employee training and development programmes too! Using this valuable feedback will create a workplace conducive to effective teamwork and productivity. 

Take Advantage of Technology 

Employee performance management is a process that should be continuously monitored and improved using technology. This way, you can track employee progress and performance efficiently, review their performance on an ongoing basis, identify areas for improvement, and effectively offer feedback. Besides tracking employee performance electronically, it's also essential to automate reviews, so they are more time-effective. 

This will help improve communication as well as employee motivation. Additionally, HR software can help you keep track of employee relationships (i.e., hiring practices), appraise your workforce periodically to ensure adequate development opportunities are available, manage leave policies better etc. 

Manage the Entire Employee Evaluation Cycle 

System-wide employee performance review begins by setting goals and objectives for each employee and determining their performance against these goals. This will help you determine where they stand and whether any areas of improvement need to be addressed immediately. 

Once your evaluation process is complete, it's time for feedback! To avoid giving employees mixed signals or vague comments, provide clear and concise feedback that addresses specific weaknesses and showcases strengths when possible. Finally, ensure you follow up with the employee, so they understand what was said and know how to improve going forward. 


Employee performance reviews are an essential process that helps to assess employee performance and provide feedback. However, reviews often need to be updated, completed, and unenlightened. As a result, employee performance management system (EPMS) upgrades are often necessary to provide employees with the training and tools they need to improve their performance.

DM us on Twitter.